Sentences with phrase «possible default»

The phrase "possible default" refers to a situation where someone or something may not be able to pay back the money they owe. Full definition
And in the eyes of lenders, the new credit obligation increases your risk of possible default.
This is to protect the financial institution from possible default especially when it is common for these types of loans to involve $ 30,000 - $ 60,000 in available credit.
This is to protect the lenders against possible default thereby making the loan less risky for them.
While some are gearing up for possible defaults among private office owners, other REITs are confronting the fallout directly in their markets and portfolios.
I came across your blog, and many of the home owners don't understand why a lender would not cooperate with refinancing, when the outcome is possible default by the borrower.
Its bond has to be markedly higher than a triple A bond to attract investors, and to make up for the additional risk of possible default.
It's possible you defaulted on a loan, were unable to afford monthly payments or otherwise faced financial pitfalls.
Alternative risk management mechanisms to trade credit insurance include self - insurance, in which a company segregates a pool of capital to cover possible defaults; factoring, which involves selling accounts receivable at a discount; and demanding a letter of credit, essentially a bank guarantee of payment.
Obvioulsy you'd rather spread your rsik of possible default over 5 borrowers / mortgages versus «putting all your eggs in one basket» and have all your risk in one borrower / mortgage.
Monoline bond insurance companies, such as MBIA and Ambac Financial Group Inc., have been hit the hardest as they scramble to raise capital to cover possible defaults and to stave off a downgrade from the ratings agencies.
Holding cash or bonds with their extremely low yields is unattractive to me, given that interest rates are at record lows, and not sufficient to compensate for possible default.
The troubled drugmaker filed its 2015 financial report in late April, allaying concerns about a possible default on its debt of more than $ 30 billion.
But bondholders ranging from longstanding investment funds to hedge funds and emerging markets funds in the United States and elsewhere are starting to lay the foundations for a potentially bitter and messy battle over a possible default down the road.
The company said it would restate its earnings and delay filing its annual report, opening the door to a possible default on its $ 30 billion debt.
The governor's comments came after anxious depositors pulled billions of euros out of Greek banks last week amid mounting worries over a possible default.
To demonstrate this point we will take a look back to around this time last year, when the Greek issue was dominating the headlines and there was plenty of fear in the market around a possible default.
Meanwhile the commonwealth's struggling utility, known as PREPA, is in talks to avoid a possible default.
The campaign warns voters about the effects of a possible default if the debt ceiling isn't raised by Aug. 2 and spins a near - doomsday scenario of high gas and food prices along with dire consequences for 401 (k) accounts.
The Texas Senator is the architect of the defund Obamacare movement, which Democrats blame for sparking the shutdown and a possible default.
Goldman had protected itself from the possible default of these bonds by purchasing credit default swaps (CDSs) from AIG.
Even as defined benefit managers pursued seeming diversification with bad payoffs as noted above, and should have sought long term guarantees, at a time like now, where guarantees are tremendously expensive, and yields are high because of possible default, it is a time to take risk, and fund the best entities that may not make it.
Since this is a secured card, you have to pay any deposit within the range of $ 200 — $ 2,500 to protect Citi from your possible default.
Fund of funds encourage hedge funds to seek steady income, which makes them tend to be insurers against default risk, rather than speculators on possible default.
If a borrower does not have cash to cover at least 20 % of the purchase price, some lenders will require the borrower to purchase private mortgage insurance to cover against a possible default.
If you don't have high enough equity in the home, you're considered a possible default liability.
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